1 00:00:04,000 --> 00:00:09,240 Speaker 1: It's that time, time, time, luck and load. 2 00:00:10,960 --> 00:00:13,480 Speaker 2: So Michael Arry Show is on the air. 3 00:00:24,160 --> 00:00:29,680 Speaker 3: The policy issue that has received the most coverage during 4 00:00:29,720 --> 00:00:34,040 Speaker 3: this campaign season, especially since Kamala Harris and the coup 5 00:00:34,520 --> 00:00:40,160 Speaker 3: to kick out Joe Biden, was President Trump's no tax 6 00:00:40,240 --> 00:00:45,920 Speaker 3: on tips, and the Democrats went from saying that was 7 00:00:46,000 --> 00:00:47,879 Speaker 3: dangerous to oh, yeah. 8 00:00:47,680 --> 00:00:50,040 Speaker 1: That's our plan too. We've decided that's our plan too. 9 00:00:51,320 --> 00:01:00,000 Speaker 1: And what's important about that is and I didn't realize 10 00:01:00,320 --> 00:01:03,600 Speaker 1: I spent some time on this this weekend. The number 11 00:01:03,640 --> 00:01:10,480 Speaker 1: of individuals who live primarily off of tips are estimated 12 00:01:10,600 --> 00:01:16,360 Speaker 1: to be about seventy five percent women, a lot of 13 00:01:16,400 --> 00:01:22,399 Speaker 1: them single women. Single women is the category that President 14 00:01:22,440 --> 00:01:23,640 Speaker 1: trumbles Trump. 15 00:01:25,240 --> 00:01:27,440 Speaker 4: Struggles with the most. 16 00:01:28,400 --> 00:01:31,840 Speaker 1: This is a big deal because it turns out when 17 00:01:31,840 --> 00:01:35,560 Speaker 1: you don't have to pay taxes on all or some 18 00:01:35,680 --> 00:01:37,279 Speaker 1: of your income. 19 00:01:38,480 --> 00:01:42,039 Speaker 4: It's a pay raise. It makes a big difference. 20 00:01:42,640 --> 00:01:45,200 Speaker 1: You think about the single mom shouldn't have to be 21 00:01:45,240 --> 00:01:47,360 Speaker 1: a mom, But you think about the single mom who's 22 00:01:47,360 --> 00:01:54,000 Speaker 1: a bartender or a waitress. If she's making a couple 23 00:01:54,080 --> 00:01:57,600 Speaker 1: thousand a month, if she's lucky and is not being 24 00:01:57,640 --> 00:02:01,800 Speaker 1: taxed on those tips, that's a big pay raise and 25 00:02:01,800 --> 00:02:03,320 Speaker 1: we'll get into how much that is in a moment. 26 00:02:04,760 --> 00:02:08,160 Speaker 1: That's cash in her pocket, that's groceries for kids, that's gas, 27 00:02:08,240 --> 00:02:09,120 Speaker 1: money to get back and. 28 00:02:09,080 --> 00:02:09,680 Speaker 4: Forth to work. 29 00:02:11,280 --> 00:02:13,160 Speaker 1: That's getting to go to the dentist when you have 30 00:02:13,200 --> 00:02:14,720 Speaker 1: it in ten years. That's getting to go to the 31 00:02:14,760 --> 00:02:17,280 Speaker 1: doctor when you don't feel well and otherwise couldn't because 32 00:02:17,280 --> 00:02:23,040 Speaker 1: you don't have insurance. That is significant because, as it 33 00:02:23,120 --> 00:02:29,560 Speaker 1: turns out, taxes are a problem and not having to 34 00:02:29,600 --> 00:02:34,200 Speaker 1: pay them is a huge benefit, a huge boost. And 35 00:02:34,240 --> 00:02:39,120 Speaker 1: it's not just single women. For every person relying on tips, 36 00:02:40,240 --> 00:02:43,160 Speaker 1: that is not a sign of great wealth. These are 37 00:02:43,200 --> 00:02:45,680 Speaker 1: typically service providers. That's why we tip them. 38 00:02:45,680 --> 00:02:45,800 Speaker 2: Now. 39 00:02:45,840 --> 00:02:47,440 Speaker 4: I know what you're thinking, Michael. 40 00:02:47,440 --> 00:02:49,519 Speaker 1: I go in these fast casual places now and a 41 00:02:49,560 --> 00:02:52,680 Speaker 1: guy punches my order into the computer and they got 42 00:02:52,720 --> 00:02:56,119 Speaker 1: a tip jar there and he's glaring at me. Everybody 43 00:02:56,120 --> 00:03:01,800 Speaker 1: wants to tip now, But by and large, those who 44 00:03:02,240 --> 00:03:04,440 Speaker 1: receive tips are. 45 00:03:04,240 --> 00:03:06,600 Speaker 4: At the lowest end of the economic room. 46 00:03:06,919 --> 00:03:10,320 Speaker 1: They're providing services, they're working, and God bless them for it. 47 00:03:10,840 --> 00:03:14,120 Speaker 1: They provide the services that we need, whether that's carrying 48 00:03:14,200 --> 00:03:19,840 Speaker 1: luggage in a hotel, bringing your food to you, washing 49 00:03:19,880 --> 00:03:23,520 Speaker 1: your car, or any number of other things and whether 50 00:03:23,600 --> 00:03:25,959 Speaker 1: you can afford it or not. There are, for instance, 51 00:03:26,040 --> 00:03:29,480 Speaker 1: elderly people who cannot do those things for themselves, but 52 00:03:29,520 --> 00:03:31,160 Speaker 1: maybe they do have a little money and they want 53 00:03:31,160 --> 00:03:37,800 Speaker 1: to reward that. Tax policy is critically important. We have 54 00:03:37,840 --> 00:03:41,280 Speaker 1: a show sponsor called Deroached Partners, and the managing partner, 55 00:03:41,320 --> 00:03:44,680 Speaker 1: Harvin Lawhan I have asked to join us because with 56 00:03:44,800 --> 00:03:48,520 Speaker 1: Kamala Harris's five trillion dollar tax plan, we can set 57 00:03:48,560 --> 00:03:51,200 Speaker 1: aside all the other demographics that who's nice, who's not. 58 00:03:52,080 --> 00:03:56,120 Speaker 1: This is going to affect every single American, every American. 59 00:03:57,160 --> 00:04:02,080 Speaker 1: If you are a charity recipient, it's going to affect 60 00:04:02,080 --> 00:04:07,240 Speaker 1: how much people have left to contribute to charities. If 61 00:04:07,240 --> 00:04:10,000 Speaker 1: you are the lowest paid person in the company, you're 62 00:04:10,040 --> 00:04:13,080 Speaker 1: also likely the first out when the company pulls back. 63 00:04:13,960 --> 00:04:16,200 Speaker 1: You increase the corporate tax rate from twenty one to 64 00:04:16,240 --> 00:04:20,680 Speaker 1: twenty eight percent. Corporations are going to lose money off 65 00:04:20,720 --> 00:04:24,080 Speaker 1: of that money that they were earning before, money that 66 00:04:24,120 --> 00:04:29,280 Speaker 1: they distribute to shareholders, money that they distribute to employees, money. 67 00:04:29,040 --> 00:04:31,799 Speaker 4: That they use to give pay raises. 68 00:04:32,839 --> 00:04:37,400 Speaker 1: You're going to feel that unrealized capital gains a minimum 69 00:04:37,480 --> 00:04:39,760 Speaker 1: tax of twenty and now she wants twenty five percent. 70 00:04:41,040 --> 00:04:46,440 Speaker 1: All of this desperate need to claw more money that 71 00:04:46,480 --> 00:04:49,599 Speaker 1: people have earned. And you know what's amazing about this. 72 00:04:50,440 --> 00:04:55,160 Speaker 1: It's not on the basis of balancing the budget, because 73 00:04:55,160 --> 00:04:59,640 Speaker 1: that's not what they say. It's never, the government needs 74 00:04:59,680 --> 00:05:02,520 Speaker 1: more mone to do more great things for you people. 75 00:05:03,520 --> 00:05:08,200 Speaker 1: I could live with that. That's a socialist tendency campaign 76 00:05:08,240 --> 00:05:11,360 Speaker 1: promise until you get complete power. I could live with that, 77 00:05:11,400 --> 00:05:14,960 Speaker 1: though I could understand it. It's never, we've got to 78 00:05:15,040 --> 00:05:18,360 Speaker 1: raise more money so we can do more handouts. 79 00:05:18,920 --> 00:05:21,720 Speaker 4: Do you know what it is? Punishment. 80 00:05:23,000 --> 00:05:27,159 Speaker 1: We've got to punish people who buy the sweat of 81 00:05:27,200 --> 00:05:33,159 Speaker 1: their brow, putting their money at risk making good decisions. 82 00:05:34,080 --> 00:05:37,120 Speaker 4: Have made money because you haven't. 83 00:05:38,760 --> 00:05:43,680 Speaker 1: Because you drank it all, because you don't go to work, 84 00:05:44,560 --> 00:05:47,120 Speaker 1: because you put it up your nose, because you buy 85 00:05:47,160 --> 00:05:51,000 Speaker 1: things you can't afford. People don't take responsibility for their 86 00:05:51,279 --> 00:05:57,119 Speaker 1: own decisions. Oh but Michael, yes, you're right. Some people 87 00:05:57,240 --> 00:06:01,360 Speaker 1: end up in that situation through no or little fault 88 00:06:01,360 --> 00:06:04,719 Speaker 1: of their own. That is true. But many people, most 89 00:06:04,760 --> 00:06:08,240 Speaker 1: people don't have as much as they'd like, and everybody 90 00:06:08,279 --> 00:06:16,000 Speaker 1: wants more because of decisions that they make. And Kamala 91 00:06:16,080 --> 00:06:17,240 Speaker 1: can't give them more money. 92 00:06:17,440 --> 00:06:18,040 Speaker 4: It's not there. 93 00:06:18,120 --> 00:06:21,840 Speaker 1: The bell curve doesn't work that way. There are too 94 00:06:21,880 --> 00:06:25,159 Speaker 1: many people you'd have to give money to. But at 95 00:06:25,279 --> 00:06:29,960 Speaker 1: least she can take it from somebody else. Harvid Lohan, 96 00:06:30,040 --> 00:06:32,360 Speaker 1: Welcome to the program, Managing partner to Roach Partners. 97 00:06:33,880 --> 00:06:35,440 Speaker 2: Morning, Michael, thank you for having me. 98 00:06:35,400 --> 00:06:39,520 Speaker 1: On, Harvin. This five trillion dollar tax plan. Once you 99 00:06:39,560 --> 00:06:44,800 Speaker 1: break it down, you represent your firm represents medium to 100 00:06:44,920 --> 00:06:50,400 Speaker 1: large businesses and high net worth individuals. When folks start 101 00:06:50,440 --> 00:06:56,760 Speaker 1: planning for a world like this, we'll get more. 102 00:06:56,640 --> 00:06:57,760 Speaker 4: Granular in a moment. 103 00:06:58,279 --> 00:07:01,240 Speaker 1: But what kind of decisions do people start making off 104 00:07:01,279 --> 00:07:03,520 Speaker 1: the top when they have a kind of a general 105 00:07:03,560 --> 00:07:06,680 Speaker 1: idea that we're going to be taxed very heavily in 106 00:07:06,680 --> 00:07:10,000 Speaker 1: a Harris campaign, what are the first things they start 107 00:07:10,040 --> 00:07:10,720 Speaker 1: looking to do. 108 00:07:14,880 --> 00:07:18,400 Speaker 5: I mean a lot of it just depends on you know, 109 00:07:18,560 --> 00:07:22,520 Speaker 5: for example, with the capital gains tax, if people are 110 00:07:22,680 --> 00:07:25,120 Speaker 5: having to sell, you know, if you're having to sell 111 00:07:25,480 --> 00:07:28,280 Speaker 5: your property, then you know, there are different strategies that 112 00:07:28,360 --> 00:07:29,160 Speaker 5: you can be doing. 113 00:07:29,840 --> 00:07:32,640 Speaker 2: You know, for example, you. 114 00:07:32,600 --> 00:07:36,440 Speaker 5: Can sell off you know, property that's a loss to 115 00:07:36,560 --> 00:07:41,080 Speaker 5: offset that capital gain. You know, generally you're able to 116 00:07:41,200 --> 00:07:44,320 Speaker 5: you know, offset capital losses gets capital gains. So for 117 00:07:44,480 --> 00:07:46,840 Speaker 5: that perspective, you know, if you're gonna have to sell property, 118 00:07:47,000 --> 00:07:50,080 Speaker 5: let's say that's lost its value that you cannot recover 119 00:07:50,160 --> 00:07:52,600 Speaker 5: the you know the basis, then you have to sell 120 00:07:52,640 --> 00:07:52,960 Speaker 5: off that. 121 00:07:53,600 --> 00:07:59,080 Speaker 1: But in the immediate term, companies are not looking optimistically 122 00:07:59,840 --> 00:08:04,920 Speaker 1: a greater burden that the government is going to impose 123 00:08:05,000 --> 00:08:07,360 Speaker 1: upon them. Because the people I know was at a 124 00:08:07,360 --> 00:08:11,800 Speaker 1: dinner last night, the first thing people start talking about is, well, 125 00:08:11,840 --> 00:08:15,360 Speaker 1: this means we can't hire. There are positions we'd like 126 00:08:15,440 --> 00:08:18,840 Speaker 1: to hire that maybe we have to hold off on. 127 00:08:19,280 --> 00:08:22,160 Speaker 1: So that means job seekers, whether they're coming out of 128 00:08:22,160 --> 00:08:26,240 Speaker 1: school or coming out of the military or looking to change, 129 00:08:26,840 --> 00:08:30,560 Speaker 1: you're not giving pay raises, you're not doing the things 130 00:08:31,000 --> 00:08:34,960 Speaker 1: that the working and middle class need a business to do. 131 00:08:35,559 --> 00:08:38,360 Speaker 1: Because now I got another mouth to feed, and that's 132 00:08:38,360 --> 00:08:39,680 Speaker 1: the government hold on just a moment. 133 00:08:41,480 --> 00:08:43,640 Speaker 4: This is the Michael bry Show. 134 00:08:48,240 --> 00:08:55,160 Speaker 1: Kamala Harris's economic plan is a five trillion dollar tax plan. 135 00:08:56,800 --> 00:09:01,360 Speaker 1: She refers to it as opportunity economy. But there is 136 00:09:01,400 --> 00:09:08,400 Speaker 1: no opportunity when businesses can't hire because they pay everything 137 00:09:08,480 --> 00:09:12,240 Speaker 1: they make into a corporate tax rate. Harvin Lawhan is 138 00:09:12,280 --> 00:09:16,920 Speaker 1: the managing partner of Deroched Partners. They are a strategic 139 00:09:16,960 --> 00:09:20,480 Speaker 1: planning company. I say strategic planning because yes, they are CPAs, 140 00:09:20,520 --> 00:09:23,480 Speaker 1: but there's so much more. They help you plan your 141 00:09:23,559 --> 00:09:28,920 Speaker 1: business and more than just preparing taxes. They are advisors 142 00:09:29,240 --> 00:09:35,440 Speaker 1: on business and tax matters. Harvin, let's talk about the 143 00:09:35,960 --> 00:09:40,680 Speaker 1: corporate tax rate of twenty one percent up to twenty 144 00:09:40,679 --> 00:09:43,760 Speaker 1: eight percent, which the Harris campaign says they will do 145 00:09:44,640 --> 00:09:49,720 Speaker 1: without mentioning a company's name. When you scan through your 146 00:09:49,760 --> 00:09:53,000 Speaker 1: clients who have a lot of employees and a lot 147 00:09:53,000 --> 00:09:56,320 Speaker 1: of families that they provide for, what does that do 148 00:09:56,559 --> 00:10:00,199 Speaker 1: to that company? How does that change that company? And 149 00:10:00,640 --> 00:10:04,679 Speaker 1: I ask it in light of the fact that, uh, 150 00:10:04,760 --> 00:10:10,640 Speaker 1: some industries are a very low profit margin industry. The 151 00:10:10,840 --> 00:10:14,440 Speaker 1: grocery store business now is widely known to be an 152 00:10:14,480 --> 00:10:17,439 Speaker 1: average of one point six percent. That's a very very 153 00:10:17,520 --> 00:10:20,040 Speaker 1: lean business. That's why they have to close when they're staffed. 154 00:10:20,320 --> 00:10:23,880 Speaker 1: But when when companies have to increase their corporate tax 155 00:10:25,640 --> 00:10:29,680 Speaker 1: rate or it is increased on them seven percent, how 156 00:10:29,679 --> 00:10:32,400 Speaker 1: does that affect the company? How many companies go under? 157 00:10:32,480 --> 00:10:34,160 Speaker 1: How many companies struggle with that? 158 00:10:37,320 --> 00:10:40,360 Speaker 2: I mean as a dramatic effect. I mean. 159 00:10:41,960 --> 00:10:44,640 Speaker 5: If you're increasing your taxes, I mean, then you know 160 00:10:44,679 --> 00:10:48,160 Speaker 5: you have less capital money to you know, for to 161 00:10:48,200 --> 00:10:52,080 Speaker 5: pay your employees, or for expansion or do all the 162 00:10:52,120 --> 00:10:56,280 Speaker 5: things that you were planning on doing. Increasing the taxes, 163 00:10:56,320 --> 00:11:05,480 Speaker 5: I mean you know. Sorry, when you at impacts. 164 00:11:05,800 --> 00:11:10,320 Speaker 1: Witness, right when you are, I know you're on the 165 00:11:10,360 --> 00:11:13,000 Speaker 1: audit side, or y'all call it assurance, because nobody likes 166 00:11:13,000 --> 00:11:15,240 Speaker 1: the thought of being audited, but you companies do want 167 00:11:15,280 --> 00:11:19,200 Speaker 1: to be audited. But when you look at the payments 168 00:11:19,200 --> 00:11:21,680 Speaker 1: they make, I guess the point I'm asking you to 169 00:11:21,760 --> 00:11:24,800 Speaker 1: make because I see this starting life as a corporate 170 00:11:24,840 --> 00:11:27,000 Speaker 1: securities lawyer, I was shocked to go into a business 171 00:11:27,000 --> 00:11:28,920 Speaker 1: and you think they may all this money. 172 00:11:29,559 --> 00:11:30,080 Speaker 4: They don't. 173 00:11:31,160 --> 00:11:34,079 Speaker 1: By the time you pay people in a competitive wage market, 174 00:11:35,040 --> 00:11:38,440 Speaker 1: by the time you repay investors, by the time you 175 00:11:38,520 --> 00:11:42,640 Speaker 1: do those sorts of things, a seven percent hike, that's 176 00:11:42,679 --> 00:11:46,720 Speaker 1: a thirty three percent increase in the taxes they're already paying. 177 00:11:47,400 --> 00:11:49,600 Speaker 1: When you're looking at returns and when you're looking at 178 00:11:49,600 --> 00:11:52,760 Speaker 1: the tax strategy of companies. They don't just have this 179 00:11:52,880 --> 00:11:58,880 Speaker 1: money laying around, right, No, they don't, And so you 180 00:11:59,000 --> 00:12:02,360 Speaker 1: got to find ways. You've got to find ways to 181 00:12:02,520 --> 00:12:05,600 Speaker 1: make up that money. And that's what I want people 182 00:12:05,600 --> 00:12:09,360 Speaker 1: to understand. That's not an opportunity economy. Taxing the rich 183 00:12:09,559 --> 00:12:14,120 Speaker 1: is not a strategy for growth for people who draw 184 00:12:14,120 --> 00:12:17,120 Speaker 1: a paycheck. And most people I know, that's not your client. 185 00:12:17,240 --> 00:12:20,560 Speaker 1: Your client is the company that pays the paycheck. But 186 00:12:20,720 --> 00:12:24,040 Speaker 1: that's going to be that's going to cause a lot 187 00:12:24,240 --> 00:12:28,319 Speaker 1: of pain for workers. I mean, it's just it's when 188 00:12:28,360 --> 00:12:30,720 Speaker 1: you when you look at at a at a company's 189 00:12:30,800 --> 00:12:36,880 Speaker 1: tax returns, what percentage of what they're of their expenses 190 00:12:37,280 --> 00:12:40,960 Speaker 1: generally of the expenses that they lay out are going 191 00:12:41,040 --> 00:12:42,160 Speaker 1: toward employees and. 192 00:12:42,120 --> 00:12:48,360 Speaker 2: Salaries depends on the industry. 193 00:12:49,600 --> 00:12:53,480 Speaker 5: I mean, it could be anywhere from you know, sixty 194 00:12:54,080 --> 00:12:57,960 Speaker 5: to eighty percent you know, of your total company expenses 195 00:12:58,000 --> 00:12:59,440 Speaker 5: are your employees. 196 00:13:00,120 --> 00:13:01,240 Speaker 2: I mean it's a big deal. 197 00:13:01,520 --> 00:13:04,760 Speaker 5: I mean for even us, missus, for you and I 198 00:13:05,120 --> 00:13:07,880 Speaker 5: that's a large number. I mean, I would say it's 199 00:13:07,920 --> 00:13:10,560 Speaker 5: generally in the sixty to eighty percent, depending on you 200 00:13:10,600 --> 00:13:13,360 Speaker 5: know where what industry here is. 201 00:13:13,960 --> 00:13:18,719 Speaker 4: I wonder how many people it was. 202 00:13:18,920 --> 00:13:22,160 Speaker 1: We celebrated Russell Lebarro's birthday last night, who owns Green 203 00:13:22,200 --> 00:13:26,079 Speaker 1: Goes and Jimmy Chonga's dear friend, and there were some 204 00:13:26,120 --> 00:13:29,920 Speaker 1: folks there that are business owners and investors, and we 205 00:13:29,920 --> 00:13:36,120 Speaker 1: were talking about a guy that owns a used to 206 00:13:36,120 --> 00:13:40,080 Speaker 1: own car dealerships and then got into the leasing business. 207 00:13:40,120 --> 00:13:42,880 Speaker 1: But he's a business owner and a very successful business owner. 208 00:13:42,960 --> 00:13:46,160 Speaker 1: And they were saying how surprising and disappointing it was 209 00:13:46,559 --> 00:13:49,480 Speaker 1: that there was a Kamala Harris sign out front. You know, 210 00:13:49,920 --> 00:13:53,040 Speaker 1: I would love to see the tax return on that 211 00:13:53,120 --> 00:13:58,800 Speaker 1: guy before and after that the Harris Economic Plan goes 212 00:13:58,800 --> 00:14:02,080 Speaker 1: into effect, because I think it would be staggering and 213 00:14:02,080 --> 00:14:05,720 Speaker 1: and and maybe he can't see that, maybe he doesn't care, 214 00:14:06,080 --> 00:14:09,320 Speaker 1: but then that hurts all the other people along the 215 00:14:09,320 --> 00:14:10,400 Speaker 1: way that he supports. 216 00:14:12,440 --> 00:14:15,280 Speaker 4: Yes, that's true, one of the go ahead. 217 00:14:15,320 --> 00:14:19,880 Speaker 5: I'm sorry, No, I was just gonna say, yes, that's true. 218 00:14:19,920 --> 00:14:23,680 Speaker 5: I mean that all the taxes that she's trying to implement, 219 00:14:24,800 --> 00:14:28,880 Speaker 5: you know, even the unrealized game tax. You know, it's 220 00:14:28,920 --> 00:14:33,640 Speaker 5: it's completely ridiculous, you know, taxing unrealized games and are. 221 00:14:33,640 --> 00:14:34,400 Speaker 2: What level wealth? 222 00:14:34,440 --> 00:14:37,640 Speaker 5: You know, you're going to drive assets, jobs, companies out 223 00:14:37,680 --> 00:14:43,280 Speaker 5: of the United States. I mean, you know me if 224 00:14:43,440 --> 00:14:47,440 Speaker 5: if they're able to do that, you know, now, to 225 00:14:47,480 --> 00:14:49,880 Speaker 5: be clear, the taxes on the unrealized games. 226 00:14:49,920 --> 00:14:51,800 Speaker 2: You know, it's best The way that it's. 227 00:14:51,760 --> 00:14:54,840 Speaker 5: Drawn up currently is that the twenty five percent proposals 228 00:14:54,880 --> 00:14:58,840 Speaker 5: for people with the net worth of over one hundred 229 00:14:58,880 --> 00:15:02,440 Speaker 5: million dollars, if they're able to start there, you know, 230 00:15:02,480 --> 00:15:05,000 Speaker 5: it's only going to expand and proximately hit millions of 231 00:15:05,000 --> 00:15:06,960 Speaker 5: Americans every time, you know, And so. 232 00:15:07,080 --> 00:15:10,880 Speaker 2: That's a big you know, some people that can't afford 233 00:15:10,920 --> 00:15:11,400 Speaker 2: that tax. 234 00:15:11,440 --> 00:15:13,760 Speaker 5: So let's talk about the un getting tax real quick. 235 00:15:14,400 --> 00:15:16,400 Speaker 5: So if you have a piece of property that's a 236 00:15:16,440 --> 00:15:19,360 Speaker 5: million dollars, and let's say it appreciates some value to 237 00:15:19,400 --> 00:15:23,760 Speaker 5: a million, five that appreciation under this new plan would 238 00:15:23,760 --> 00:15:27,280 Speaker 5: now be taxable at twenty five percent. To the extent 239 00:15:27,320 --> 00:15:29,720 Speaker 5: that the person was unable to afford that tax, you know, 240 00:15:29,760 --> 00:15:32,320 Speaker 5: you're probably going to have to sell the asset or 241 00:15:32,840 --> 00:15:35,880 Speaker 5: or sell some other asset, you know, to afford sale 242 00:15:37,080 --> 00:15:38,320 Speaker 5: in order to pay that tax. 243 00:15:41,320 --> 00:15:45,280 Speaker 1: It's funny, you yeah, of course, Harvid Lawhan is our guest. 244 00:15:45,320 --> 00:15:48,400 Speaker 1: He is the managing partner of de Roach Partners. It's 245 00:15:48,440 --> 00:15:51,680 Speaker 1: funny you brought that up because that was my next question. 246 00:15:53,320 --> 00:15:58,480 Speaker 1: Kamala Harris's tax on unrealized capital gains that's in the 247 00:15:58,600 --> 00:16:03,240 Speaker 1: language of their policy. They started with a minimum tax 248 00:16:03,240 --> 00:16:06,640 Speaker 1: of twenty percent, and I guess that didn't seem mean enough. 249 00:16:06,760 --> 00:16:08,960 Speaker 1: That didn't feel like you were hitting the rich folks. 250 00:16:09,000 --> 00:16:12,000 Speaker 1: Because only rich people make capital gains. That's the belief. 251 00:16:14,600 --> 00:16:17,880 Speaker 1: They bumped that from twenty percent to twenty five percent. 252 00:16:18,560 --> 00:16:23,560 Speaker 1: But explain to folks what an unrealized capital gain is. 253 00:16:23,880 --> 00:16:27,720 Speaker 1: Vivek Ramaswami spent the weekend tweeting about this, and I 254 00:16:27,760 --> 00:16:32,720 Speaker 1: thought he did a fantastic job. But explain that to 255 00:16:32,800 --> 00:16:34,920 Speaker 1: folks so that they understand it, because I think that 256 00:16:35,000 --> 00:16:39,000 Speaker 1: is what is That is what is frightening. That's before 257 00:16:39,080 --> 00:16:41,520 Speaker 1: the bread is baked. You're taking it out of the 258 00:16:41,520 --> 00:16:45,040 Speaker 1: oven and redistributing it. It has no value at that point. 259 00:16:45,240 --> 00:16:46,600 Speaker 1: It's not cookies, reminiencent. 260 00:16:46,720 --> 00:16:49,440 Speaker 4: You're right. If it was cookies, it's not. No. 261 00:16:49,640 --> 00:16:51,960 Speaker 1: But yes, I'm sorry, Harvid. This is my whole day. 262 00:16:52,040 --> 00:16:52,840 Speaker 1: This is my whole day. 263 00:16:53,400 --> 00:16:54,720 Speaker 2: No, No, you're good. 264 00:16:55,640 --> 00:16:59,400 Speaker 5: So if you buy an asset, let's let's say let's 265 00:16:59,400 --> 00:17:02,400 Speaker 5: say you buy Hyeah ten thousand shares of some stock 266 00:17:02,440 --> 00:17:05,720 Speaker 5: for ten dollars. If the stock goes up to thirty 267 00:17:05,760 --> 00:17:09,400 Speaker 5: dollars a share, you know let's say that goes from 268 00:17:09,400 --> 00:17:13,040 Speaker 5: one hundred initial one hundred thousand dollars purchase to worth 269 00:17:13,040 --> 00:17:16,240 Speaker 5: three hundred thousand. That initial increase to two hundred thousand, 270 00:17:16,640 --> 00:17:18,560 Speaker 5: regardless of whether it's going to go up or down 271 00:17:18,720 --> 00:17:21,919 Speaker 5: in the future, would now be taxed at twenty five percent, 272 00:17:22,000 --> 00:17:24,720 Speaker 5: So that two hundred thousand dollars gain that difference in 273 00:17:24,760 --> 00:17:28,720 Speaker 5: the fair market value appreciation would be now taxable. And 274 00:17:28,880 --> 00:17:31,879 Speaker 5: let's say let's say that's the case, and then the 275 00:17:31,920 --> 00:17:35,639 Speaker 5: stock then plummets to down. You know, let's say book 276 00:17:35,720 --> 00:17:39,560 Speaker 5: plummets to you know where it's almost worthless. You know, 277 00:17:39,680 --> 00:17:42,720 Speaker 5: you paid the tax on that gain, and you don't 278 00:17:42,720 --> 00:17:44,440 Speaker 5: get any benefit for the law. I mean, you get 279 00:17:44,480 --> 00:17:47,679 Speaker 5: to carry your loss you to k for But I 280 00:17:47,720 --> 00:17:50,800 Speaker 5: mean the fact of the matter is it's a paperwork nightmare. 281 00:17:50,920 --> 00:17:52,360 Speaker 2: I mean, I don't I don't mean know how they're 282 00:17:52,359 --> 00:17:53,199 Speaker 2: gonna do the document. 283 00:17:53,280 --> 00:17:57,040 Speaker 1: This, you know, just is the managing partner of the 284 00:17:57,119 --> 00:18:01,960 Speaker 1: Road Partners, the Kamala Hair Economic policy. If folks will 285 00:18:02,000 --> 00:18:05,840 Speaker 1: focus on this, wow, it's a non starter. 286 00:18:08,480 --> 00:18:08,879 Speaker 2: With them. 287 00:18:09,080 --> 00:18:10,640 Speaker 3: Michael Berry. 288 00:18:12,000 --> 00:18:18,800 Speaker 1: Probably good news. President Trump is at a relaying ceremony 289 00:18:18,880 --> 00:18:22,160 Speaker 1: for the thirteen service members who were killed three years 290 00:18:22,160 --> 00:18:33,400 Speaker 1: ago today in Afghanistan, prayers for their families. They deserved better. Meanwhile, 291 00:18:33,480 --> 00:18:41,320 Speaker 1: Kamala Harris is attacking financially successful people. It is a 292 00:18:41,400 --> 00:18:45,119 Speaker 1: crazy notion that your problems are caused by rich people. 293 00:18:46,160 --> 00:18:49,159 Speaker 1: Crazy notion. Indeed, they're not taking anything that is yours. 294 00:18:49,880 --> 00:18:56,399 Speaker 1: But this phenomenon is from the beginning of time. Blame 295 00:18:56,880 --> 00:19:02,760 Speaker 1: other people. The problem is when you alter our system 296 00:19:02,880 --> 00:19:07,240 Speaker 1: so dramatically that you make it such that people do 297 00:19:07,320 --> 00:19:10,920 Speaker 1: not invest their capital, that is the money that they 298 00:19:10,960 --> 00:19:14,640 Speaker 1: have available to them. When people do not invest their 299 00:19:14,680 --> 00:19:22,679 Speaker 1: capital in other companies, in startups because they don't have 300 00:19:22,800 --> 00:19:27,479 Speaker 1: as much. You ever try to start a business, you 301 00:19:27,520 --> 00:19:28,879 Speaker 1: start with friends and family money. 302 00:19:29,119 --> 00:19:30,119 Speaker 4: It's a well known fact. 303 00:19:31,600 --> 00:19:34,399 Speaker 1: You know, number one source fromone the number one source, 304 00:19:34,400 --> 00:19:38,240 Speaker 1: the number one financial source of business startup capital. 305 00:19:38,520 --> 00:19:41,920 Speaker 4: I think it's ninety eight percent. Now, a visa card. 306 00:19:43,440 --> 00:19:45,360 Speaker 1: People go get a credit card, or people use their 307 00:19:45,359 --> 00:19:49,159 Speaker 1: credit card and they file their little DBA and they 308 00:19:49,200 --> 00:19:52,040 Speaker 1: file their little LLC or whatever corporate entity. 309 00:19:52,840 --> 00:19:55,040 Speaker 4: What's that Mafiaya mafia? 310 00:19:55,440 --> 00:19:58,480 Speaker 1: Number two, yes, of course, yeah, absolutely, But number one 311 00:19:58,800 --> 00:20:02,679 Speaker 1: is visa cards. People start their little business car wash business. 312 00:20:02,840 --> 00:20:06,040 Speaker 1: They go buy the supplies on their credit card and 313 00:20:06,080 --> 00:20:09,520 Speaker 1: then the first money they make is just paying back 314 00:20:09,520 --> 00:20:14,040 Speaker 1: the card. That's how business works. But if you don't 315 00:20:14,080 --> 00:20:18,919 Speaker 1: have capital, because private equity is not available, and you 316 00:20:18,920 --> 00:20:22,639 Speaker 1: can't start businesses. And ask anybody who's ever started a business, 317 00:20:22,880 --> 00:20:26,480 Speaker 1: the hardest part to starting that business is raising the 318 00:20:26,560 --> 00:20:31,120 Speaker 1: capital to get started. In any industry, when government takes 319 00:20:31,119 --> 00:20:35,400 Speaker 1: that capital away, the money will dry up to start businesses. 320 00:20:36,080 --> 00:20:38,800 Speaker 1: Harvid Lahan is the managing partner of The Road Partners 321 00:20:40,160 --> 00:20:45,399 Speaker 1: armand we were talking about taxes on unrealized capital gains 322 00:20:45,880 --> 00:20:48,840 Speaker 1: and Kamala Harris going from a twenty percent to a 323 00:20:48,960 --> 00:20:52,320 Speaker 1: twenty five percent, and I wanted to read something that 324 00:20:52,520 --> 00:20:55,680 Speaker 1: Vivek Ramaswami wrote this weekend that I thought was very 325 00:20:55,680 --> 00:20:59,199 Speaker 1: well put. I'm very glad you brought this up, and 326 00:20:59,440 --> 00:21:00,720 Speaker 1: I can't get to it now. 327 00:21:01,320 --> 00:21:02,200 Speaker 4: Let me see here we go. 328 00:21:03,040 --> 00:21:07,879 Speaker 1: He said, Kamala Harris supports a tax on unrealized capital gains. 329 00:21:07,880 --> 00:21:11,280 Speaker 1: And here's how that will trigger an economic calamity. Currently, 330 00:21:11,320 --> 00:21:13,919 Speaker 1: if you own an asset a stock, a house as 331 00:21:13,960 --> 00:21:15,800 Speaker 1: you pointed out, or land as you pointed out earlier, 332 00:21:16,200 --> 00:21:19,240 Speaker 1: and it goes up in value, you don't pay taxes 333 00:21:19,280 --> 00:21:22,760 Speaker 1: on that appreciation until you sell it, or, as Harvin 334 00:21:22,800 --> 00:21:26,919 Speaker 1: would say, you realize it makes sense, you haven't actually 335 00:21:26,960 --> 00:21:29,960 Speaker 1: made any money yet. Biden and Harris want to change that. 336 00:21:30,000 --> 00:21:32,199 Speaker 1: In twenty twenty two, they proposed a minimum tax of 337 00:21:32,240 --> 00:21:38,600 Speaker 1: twenty percent on total income generally inclusive of unrealized capital gains. 338 00:21:39,000 --> 00:21:41,480 Speaker 1: In twenty twenty three and twenty twenty four, they bumped 339 00:21:41,520 --> 00:21:45,439 Speaker 1: it up to twenty five percent. It never became law 340 00:21:46,160 --> 00:21:47,640 Speaker 1: because they couldn't get it through the House and send 341 00:21:47,680 --> 00:21:50,800 Speaker 1: it yet, but the Harris campaign has shown that she 342 00:21:50,880 --> 00:21:55,399 Speaker 1: supports it. Harvin, I know this is more of a 343 00:21:55,400 --> 00:21:59,119 Speaker 1: policy question, and your job is to advise clients. But 344 00:21:59,200 --> 00:22:02,320 Speaker 1: I can't imagine what that looks like when someone, as 345 00:22:02,320 --> 00:22:04,679 Speaker 1: you said, they've got an asset. You were talking about 346 00:22:04,720 --> 00:22:08,920 Speaker 1: paying higher corporate taxes, but a company that has You've 347 00:22:08,920 --> 00:22:12,000 Speaker 1: got home builders, a home builder that has has locked 348 00:22:12,080 --> 00:22:14,560 Speaker 1: up land so they can buy land, and now that 349 00:22:14,680 --> 00:22:16,679 Speaker 1: land has gone up in value, and he has to 350 00:22:16,720 --> 00:22:23,240 Speaker 1: pay taxes on the unrealized capital gain and he doesn't 351 00:22:23,280 --> 00:22:26,760 Speaker 1: have any cash coming in that was his investment that 352 00:22:26,800 --> 00:22:28,640 Speaker 1: he's planning for the future. I mean, this is this 353 00:22:28,720 --> 00:22:31,040 Speaker 1: is catastrophic results. 354 00:22:32,840 --> 00:22:36,560 Speaker 5: Yes, I mean it, you know, it will force businesses 355 00:22:36,600 --> 00:22:38,800 Speaker 5: to possibly close if they don't have the cash or 356 00:22:38,840 --> 00:22:42,199 Speaker 5: have the ability to sell the assets. Then you know 357 00:22:42,280 --> 00:22:44,919 Speaker 5: it will cause businesses to close their doors. 358 00:22:45,560 --> 00:22:47,560 Speaker 1: Well, and you know better than I do, because you're 359 00:22:47,720 --> 00:22:50,560 Speaker 1: you're dealing with businesses every day, advising them. But a 360 00:22:50,600 --> 00:22:54,440 Speaker 1: lot of businesses are cash poor. Uh, In the same 361 00:22:54,440 --> 00:22:58,040 Speaker 1: way a lot of households are cash poor. They're house poor. 362 00:22:58,400 --> 00:23:01,400 Speaker 1: They you know, everything you may goes to your car 363 00:23:01,440 --> 00:23:05,160 Speaker 1: note and your house note and and keeping your kids fed. 364 00:23:05,480 --> 00:23:07,720 Speaker 1: You don't have a lot of extra cash laying around. 365 00:23:07,760 --> 00:23:10,680 Speaker 1: There are businesses that operate this way. They may be 366 00:23:10,760 --> 00:23:12,760 Speaker 1: sitting on a piece of property that one day their 367 00:23:12,800 --> 00:23:16,440 Speaker 1: exit strategy is to sell when they close the thing down. 368 00:23:16,800 --> 00:23:19,119 Speaker 1: But to have to pay taxes on that, now, that 369 00:23:19,160 --> 00:23:21,280 Speaker 1: would be devastating. As you said, it would cause them 370 00:23:21,320 --> 00:23:22,000 Speaker 1: to close. 371 00:23:23,840 --> 00:23:24,560 Speaker 2: Yes, it would. 372 00:23:25,160 --> 00:23:27,240 Speaker 5: I mean most businesses don't Yeah, like you said, they 373 00:23:27,240 --> 00:23:28,520 Speaker 5: don't have liquid assets. 374 00:23:28,840 --> 00:23:31,520 Speaker 2: You know, they have hard assets, you. 375 00:23:31,480 --> 00:23:36,439 Speaker 5: Know, whether that's equipment, land, building, you know, and if 376 00:23:36,440 --> 00:23:39,720 Speaker 5: they have to sell that, you know, then it will 377 00:23:39,720 --> 00:23:40,480 Speaker 5: probably force. 378 00:23:40,359 --> 00:23:40,879 Speaker 2: Them to close. 379 00:23:41,080 --> 00:23:45,280 Speaker 5: And I mean even just you know, going back, taking 380 00:23:45,280 --> 00:23:47,920 Speaker 5: a step back, I mean if I have to sell 381 00:23:48,240 --> 00:23:49,280 Speaker 5: let's say, a piece. 382 00:23:49,040 --> 00:23:51,639 Speaker 2: Of land or a building. You know, how does that 383 00:23:51,760 --> 00:23:52,560 Speaker 2: valuation work? 384 00:23:52,880 --> 00:23:55,480 Speaker 5: And so most companies are going to now have to 385 00:23:55,520 --> 00:23:58,159 Speaker 5: go out and get a probably a valuation done to 386 00:23:58,240 --> 00:24:01,160 Speaker 5: determine what is the value of this piece of property. 387 00:24:02,160 --> 00:24:04,560 Speaker 5: And then you know there's gonna be paperwork and God 388 00:24:04,640 --> 00:24:06,080 Speaker 5: only knows how long that's going to take. 389 00:24:06,800 --> 00:24:10,560 Speaker 2: And you know, the thought process is that you can 390 00:24:10,600 --> 00:24:12,119 Speaker 2: see the cycle of this. 391 00:24:12,280 --> 00:24:15,679 Speaker 5: I mean, it's just a a sorry, it's a you know, 392 00:24:15,760 --> 00:24:18,120 Speaker 5: snowball going downhill. I mean, I don't even know how 393 00:24:18,160 --> 00:24:18,879 Speaker 5: you can. 394 00:24:18,800 --> 00:24:19,359 Speaker 2: Track all of this. 395 00:24:19,680 --> 00:24:23,960 Speaker 5: It's sorry, I'm just stating the audience, which is no, 396 00:24:24,320 --> 00:24:26,520 Speaker 5: it's going to be a big deal for people, and 397 00:24:26,560 --> 00:24:30,119 Speaker 5: I think in people, I think need to understand what's 398 00:24:30,400 --> 00:24:33,240 Speaker 5: coming and need to be prepared for that. 399 00:24:34,280 --> 00:24:35,680 Speaker 4: Well, it doesn't have to come. 400 00:24:36,880 --> 00:24:39,600 Speaker 1: You know, if someone chooses to cut off their their 401 00:24:39,640 --> 00:24:42,280 Speaker 1: nose to spite their face, I can't stop them from 402 00:24:42,280 --> 00:24:45,040 Speaker 1: doing that. But I do want people to understand. This 403 00:24:45,160 --> 00:24:49,600 Speaker 1: is why the media is not discussing economic policy, because 404 00:24:49,640 --> 00:24:52,680 Speaker 1: when you see the effects this is going to have 405 00:24:52,880 --> 00:24:56,920 Speaker 1: on your business, are the business you work for, There 406 00:24:56,960 --> 00:25:00,240 Speaker 1: will be layoffs, there will be layoffs. That's just a act. 407 00:25:00,640 --> 00:25:02,920 Speaker 1: There will be fewer charitable dollars. There will be all 408 00:25:03,000 --> 00:25:05,680 Speaker 1: the things that you advise. Businesses and high net worth 409 00:25:05,720 --> 00:25:10,400 Speaker 1: individuals will be cutting back and people don't understand that's 410 00:25:10,480 --> 00:25:14,359 Speaker 1: going that trickles down, all right. Uh, the rising tide 411 00:25:14,400 --> 00:25:17,840 Speaker 1: lifts all boats. Well, when when you hit ground, it's 412 00:25:17,920 --> 00:25:22,320 Speaker 1: it's it's gonna. Oh, it's gonna, it's gonna be bad dogs. 413 00:25:22,320 --> 00:25:25,439 Speaker 1: Harvin Lawhn the Roach Partner's managing partner. 414 00:25:25,480 --> 00:25:29,080 Speaker 4: Thank you, sir, stuff man. 415 00:25:31,600 --> 00:25:34,960 Speaker 1: Kevin Wrights Otilsino. 416 00:25:35,160 --> 00:25:37,520 Speaker 4: I'm fifty nine. I just retired. 417 00:25:38,880 --> 00:25:43,320 Speaker 1: I worked my ass off from age sixteen till now, 418 00:25:45,080 --> 00:25:50,000 Speaker 1: never more than middle management in corporate America. I started 419 00:25:50,000 --> 00:25:55,120 Speaker 1: saving at age sixteen. I always increased my savings on 420 00:25:55,200 --> 00:25:59,719 Speaker 1: every pay race. I never had a car payment. My 421 00:25:59,760 --> 00:26:03,840 Speaker 1: wife currently drives a twenty year old car. Lived in 422 00:26:03,880 --> 00:26:07,840 Speaker 1: the same house for the last thirty years. At any time, 423 00:26:07,880 --> 00:26:10,800 Speaker 1: we could have driven brand new cars. We could have 424 00:26:10,840 --> 00:26:12,800 Speaker 1: moved into a home four times the value of our 425 00:26:12,840 --> 00:26:15,800 Speaker 1: current house anytime in the last twenty years. 426 00:26:17,400 --> 00:26:21,280 Speaker 4: Now, my family is very comfortable. 427 00:26:22,440 --> 00:26:28,320 Speaker 1: Increase taxes on unrealized gains value added gains. 428 00:26:28,280 --> 00:26:31,280 Speaker 4: To pay for what as a young man. 429 00:26:31,359 --> 00:26:34,560 Speaker 1: Seeing what I see now, there is no incentive at 430 00:26:34,560 --> 00:26:37,560 Speaker 1: all to save a dime. And that's what people are 431 00:26:37,560 --> 00:26:42,720 Speaker 1: going to see. Two incomes, large house, two new one 432 00:26:42,760 --> 00:26:45,840 Speaker 1: hundred thousand dollars or a year one hundred thousand dollars 433 00:26:45,880 --> 00:26:55,800 Speaker 1: cars one hundred thousand plus cars. You know, I'm not 434 00:26:55,840 --> 00:26:59,960 Speaker 1: trying to be your financial advisor, your accountant, you're a lawyer, 435 00:27:01,240 --> 00:27:07,479 Speaker 1: or anything else. But take this advice. If you are 436 00:27:07,600 --> 00:27:14,480 Speaker 1: beholden to debt, you are not free, You are not complete, 437 00:27:14,880 --> 00:27:27,000 Speaker 1: you are not whole. When people believe that they need 438 00:27:27,040 --> 00:27:31,399 Speaker 1: it all and they need it now, they end up 439 00:27:31,440 --> 00:27:38,760 Speaker 1: with nothing. Ever, I wish I had been the saver 440 00:27:39,920 --> 00:27:45,040 Speaker 1: my dad was, wow, so impressive. 441 00:27:46,320 --> 00:27:47,320 Speaker 4: A couple of years ago. 442 00:27:47,880 --> 00:27:53,080 Speaker 1: I took over their finances and the marvels of modern technology. 443 00:27:54,480 --> 00:27:58,960 Speaker 1: I do all their bills online and it's still with 444 00:27:59,040 --> 00:28:00,720 Speaker 1: the credit union from Upont. 445 00:28:00,400 --> 00:28:01,600 Speaker 4: Where he worked for forty years. 446 00:28:03,560 --> 00:28:06,280 Speaker 1: But the first thing I noticed, and I'd forgotten this 447 00:28:06,359 --> 00:28:10,760 Speaker 1: from when I was young, is he has a checking account, 448 00:28:11,600 --> 00:28:15,920 Speaker 1: is a savings account, and he has a Christmas account 449 00:28:17,680 --> 00:28:21,480 Speaker 1: and a few dollars from every paycheck through the course 450 00:28:21,520 --> 00:28:23,760 Speaker 1: of the year went into that Christmas account. 451 00:28:25,000 --> 00:28:27,280 Speaker 4: Now it wasn't the stock market. 452 00:28:27,520 --> 00:28:33,120 Speaker 1: It didn't rise over the years, but he planned ahead 453 00:28:33,600 --> 00:28:38,400 Speaker 1: year round with just a few dollars out of every 454 00:28:38,440 --> 00:28:43,440 Speaker 1: paycheck so that come Christmas they could handle Christmas without 455 00:28:43,520 --> 00:28:48,080 Speaker 1: And now he still worked overtime at Christmas. He worked 456 00:28:48,120 --> 00:28:51,160 Speaker 1: overtime before we would go on vacation in the summer, 457 00:28:51,200 --> 00:28:54,120 Speaker 1: which was usually the Houston, we'd go to Astra World 458 00:28:54,720 --> 00:28:58,280 Speaker 1: and we'd go to an Astros game and we'd steal 459 00:28:58,320 --> 00:28:59,360 Speaker 1: the holiday intells. 460 00:29:00,000 --> 00:29:01,240 Speaker 4: This was kind of return on investment. 461 00:29:03,040 --> 00:29:05,360 Speaker 1: He would do that before we went on vacation in 462 00:29:05,720 --> 00:29:10,160 Speaker 1: the summer, and do that before we started school in 463 00:29:10,200 --> 00:29:10,800 Speaker 1: the fall. 464 00:29:10,840 --> 00:29:13,720 Speaker 4: So we could have school clothes. We go school close shopping. 465 00:29:14,320 --> 00:29:17,040 Speaker 1: And that would be at Bell's, but there'd be a 466 00:29:17,040 --> 00:29:20,640 Speaker 1: couple of items, one maybe two, and we go down 467 00:29:20,640 --> 00:29:22,960 Speaker 1: to the other end of the shopping center on MacArthur 468 00:29:23,000 --> 00:29:26,160 Speaker 1: Drive for those of you who know Orange and next 469 00:29:26,160 --> 00:29:29,240 Speaker 1: to the Seers which jutted out the Seeries was an 470 00:29:29,400 --> 00:29:31,560 Speaker 1: isthmus coming out of the shopping center at the end. 471 00:29:31,600 --> 00:29:32,280 Speaker 4: You know how they do that. 472 00:29:33,000 --> 00:29:36,400 Speaker 1: But in that vortex right there was the very fancy 473 00:29:36,880 --> 00:29:39,720 Speaker 1: and highly air conditioned because when you pushed open that door, 474 00:29:39,760 --> 00:29:40,960 Speaker 1: you woo you high. 475 00:29:40,880 --> 00:29:42,920 Speaker 4: Dollar now was the Palais Royal. 476 00:29:44,560 --> 00:29:49,520 Speaker 1: I met Rodney Margolis through his brother Barry Margolis years ago, 477 00:29:50,360 --> 00:29:52,840 Speaker 1: and he was he was having a meal, and I 478 00:29:52,880 --> 00:29:55,840 Speaker 1: told him that I used to shop at the Palais Royal, 479 00:29:56,200 --> 00:29:58,160 Speaker 1: and we went into about a ten minute conversation on 480 00:29:58,200 --> 00:30:01,680 Speaker 1: pro He was so happy. Here my childhood memories of 481 00:30:01,720 --> 00:30:04,600 Speaker 1: this store that he had owned. It was stage stores. 482 00:30:05,720 --> 00:30:09,360 Speaker 1: And as luck would have it, my wife's law firm 483 00:30:09,400 --> 00:30:12,000 Speaker 1: when she was still practicing, lock Lord and Bissel, they 484 00:30:12,080 --> 00:30:16,480 Speaker 1: represented uh stage stores and and I don't know if 485 00:30:16,520 --> 00:30:21,400 Speaker 1: you remember, but we went to it's not bells. It 486 00:30:21,480 --> 00:30:24,520 Speaker 1: starts with a bee. Dad comment, hey, when I can't 487 00:30:24,520 --> 00:30:32,440 Speaker 1: remember something anyway, the it's like a Cavender's competitor starts 488 00:30:32,440 --> 00:30:35,200 Speaker 1: with a bee, and I can they got I can't remember, 489 00:30:35,520 --> 00:30:37,640 Speaker 1: but we got crocodile dutted up because we were riding 490 00:30:37,680 --> 00:30:42,880 Speaker 1: in on the rodeo. But anyway, my dad, we didn't 491 00:30:42,880 --> 00:30:45,080 Speaker 1: buy new cars, just didn't happen. 492 00:30:46,360 --> 00:30:47,320 Speaker 4: He built our house. 493 00:30:48,120 --> 00:30:50,400 Speaker 1: He took it was it was thirteen percent interest rate, 494 00:30:51,280 --> 00:30:53,040 Speaker 1: and he paid it off in just a few years 495 00:30:53,040 --> 00:30:55,800 Speaker 1: because very little of it was borrowed. The land was 496 00:30:55,840 --> 00:30:59,920 Speaker 1: what he had to pay and I grew up watching that. 497 00:31:00,520 --> 00:31:02,600 Speaker 1: And there's a book called The Billionaire that's sorry the 498 00:31:02,640 --> 00:31:07,080 Speaker 1: Millionaire next Door, And the point of the cliff notes 499 00:31:08,040 --> 00:31:11,560 Speaker 1: are that the millionaire next door doesn't look like it. 500 00:31:12,720 --> 00:31:17,320 Speaker 1: He drives a modest car that's paid off. He doesn't 501 00:31:17,320 --> 00:31:20,320 Speaker 1: buy new things, he doesn't get a bunch of Amazon packages, 502 00:31:20,400 --> 00:31:22,720 Speaker 1: he doesn't take louviage vacations, he doesn't. 503 00:31:22,440 --> 00:31:23,280 Speaker 4: Go on cruises. 504 00:31:26,360 --> 00:31:28,959 Speaker 1: But what I mean to say with the election before 505 00:31:29,040 --> 00:31:34,040 Speaker 1: us is how much you spend and how you spend 506 00:31:34,080 --> 00:31:41,000 Speaker 1: your life should be determined by you, and how much 507 00:31:41,080 --> 00:31:43,920 Speaker 1: money you have and are able to make, and how 508 00:31:43,960 --> 00:31:46,320 Speaker 1: you've spent it, what your earnings are and what your 509 00:31:46,360 --> 00:31:47,479 Speaker 1: returns on investment are. 510 00:31:49,440 --> 00:31:51,200 Speaker 4: It should not be the case. 511 00:31:52,480 --> 00:31:55,920 Speaker 1: That how you live is determined by the government, for 512 00:31:56,040 --> 00:32:02,360 Speaker 1: better or for worse. And it's about to be. People 513 00:32:02,400 --> 00:32:10,640 Speaker 1: ask me, you know what happens if Kamala wins. We 514 00:32:10,680 --> 00:32:14,240 Speaker 1: don't not have a country. The next day they don't 515 00:32:14,280 --> 00:32:19,840 Speaker 1: walk outside and it's all pavement. It begins a very 516 00:32:20,000 --> 00:32:28,440 Speaker 1: accelerated decline from which you don't recover, and you lose 517 00:32:29,080 --> 00:32:31,920 Speaker 1: the checks and balances within the system you've already seen 518 00:32:31,960 --> 00:32:35,240 Speaker 1: that try to post something on Facebook that is a 519 00:32:35,400 --> 00:32:38,240 Speaker 1: fact that criticizes Kamala Harris. 520 00:32:39,440 --> 00:32:41,480 Speaker 4: You'll be blocked. Trust me. I know. 521 00:32:42,000 --> 00:32:46,080 Speaker 1: I went from eighteen million, a reach of eighteen million 522 00:32:46,160 --> 00:32:49,880 Speaker 1: last month to a reach of five or six million 523 00:32:49,960 --> 00:32:52,360 Speaker 1: right now. Is declining by the day because it's a 524 00:32:52,440 --> 00:32:53,440 Speaker 1: violation for everything. 525 00:32:53,520 --> 00:32:54,719 Speaker 4: Everything I do is a violation. 526 00:32:55,800 --> 00:32:58,760 Speaker 1: And they're preparing because they're going to yank me off 527 00:32:58,920 --> 00:33:01,880 Speaker 1: by September fifth, ether or nothing or so no, not, 528 00:33:02,000 --> 00:33:06,640 Speaker 1: They're going to take me off, Ramona. 529 00:33:06,800 --> 00:33:07,640 Speaker 4: But this is real. 530 00:33:08,120 --> 00:33:11,720 Speaker 1: We don't talk about finances, economics, tax policy. We talk 531 00:33:11,760 --> 00:33:15,160 Speaker 1: about skin color and who feels good and who postmean tweets. 532 00:33:15,440 --> 00:33:17,880 Speaker 1: Your life is going to change dramatically.